12/16/2016: Holiday Spending Tips
The holidays can be a tricky time to navigate the retail world! There are so many deals and discounts, but how do you really get the best bang for your buck? Black Friday used to be one of the best days for deals and steals during the holiday season. Black Friday is about to lose it’s title for the largest shopping day of the year! The biggest shopping day of the year is predicted to fall on Friday, December 23rd according to RetailNext. Another very busy day in retail is Super Saturday on December 17th.
Retail credit cards are also very popular during this holiday season. Most the time stores push for credit cards this time of year and they usually sweeten the deal by adding an extra discount when you open a card. But is the discount really worth it? The answer is no. Store cards can hurt your credit. They are usually low credit limits which increases your chances of coming close to maxing them out in a single visit. They also come with high interest rates of around 20-30%. Their deferred interest deals can be dangerous as well. The “no interest if paid in full” does not mean 0% APR. These cards can end up in charges of hundreds of dollars in retroactive interest if you don’t fully pay off your balance.
If you’re still interested in getting a store card be careful and follow these guidelines to keep your credit score safer. Make a list of due dates so you don’t miss any payments. Don’t go overboard when visiting the store. A good rule of thumb is to use less than 30% of your available credit at all times. Lastly, Swear off balances for good. Make a habit of paying off your cards in full every month.
Hope these tips can help you with holiday shopping!